Apple exploring a Google-like paid search model for App Store: Report

The team is reportedly about 100 member strong with many of the engineers from its mobile advertising platform iAd. It is being headed by former iAd boss and Apple Vice President Todd TeresiETtech | April 15, 2016, 11:12 IST

Apple has setup a secret team to explore changes to its App Store, including potentially charging developers to have their apps more prominently displayed, reports Bloomberg citing sources.

It says Apple is considering a Google-like paid search model wherein app developers pay to show their apps at the top of the search results based on what customers is looking for.

Interestingly, the team is reportedly about 100 member strong with many of the engineers from its mobileadvertising platform iAd. It is being headed by former iAd boss and Apple Vice President Todd Teresi. Apple declined to comment on this to the publication.

Apple had earlier said that it is shutting down the app network for the six-year old iAd platform on June 30, 2016, following reports of the Cupertino tech giant disbanding its entire in-house sales team in favour of an automated self-service platform. Apple’s senior vice president of Internet Software and Services Eddy Cue had told the Wall Street Journal in January that they expect to launch a self-service ad-buying platform in coming months.

If Apple eventually plans to roll out this model, it could have huge implications on the revenues from its services segment that generated $20 billion revenue in the last fiscal. It could also have bigger implications on app developers who might have to shell out money to Apple to remain first in search results.